Despite the availability of a variety of two-dimensional (2D) materials for potential use as Li-ion battery electrodes, it is difficult to find all the desirable qualities of an electrode in a single material. Therefore, research efforts are ongoing in designing a heterostructure to incorporate the desirable characteristics that are not available in the parent structures. In our work, we have designed a van der Waals heterostructure made of a conducting 2D NbSe 2 -layer and insulating hexagonal boron nitride (h-BN) and applied interlayer twist at different twist angles for potential applications as an electrode in the Li-ion battery. The heterostructure offers a metallic character, which makes the insulating h-BN capable of battery application. The adsorption site changes for different twist angles. For the twist angles of 5.21 and 54.79°, the H-site is the most favorable adsorption site, but for all other twist angles, T-site stays the most favorable adsorption site. When the angle between surfaces is 19.11°, the heterostructure shows better stability as compared to all other configurations in different twist angles. The adsorption energy gets enhanced compared to the individual monolayers, indicating better intercalation. At a twist angle of 19.11°, our structure shows a minimum diffusion barrier of 0.6 eV, whereas at all other twist angles, it shows a nearly 0.9 eV barrier. The open circuit voltage is found to be 0.62 V. The structure shows a specific capacity of 185 mA h g m −1 .